Tag Archives: business lawsuit

Vacation Rental Company Faces Lawsuit Over Service Changes

Some customers across the country are outraged, saying VRBO took their money for a service, then changed the terms of that service.

Just steps from sunny cove beach in Santa Cruz is Carrie Walton’s vacation home. She rents it to travelers who book on the website VRBO. Walton paid the company $1,200 for a one year “Platinum membership,” designed to boost her home’s ranking in search results.

“Someone looks, there’s maybe 10 pages of homes, and maybe this way, with platinum, you’ll be on the first page, mostly likely at the top,” she said. “We thought it was worth the cost — it was an investment in marketing.”

Walton said it worked for a few months. Then VRBO started charging travelers a “service fee,” an extra 4 to 9 percent that VRBO pockets.

Walton said it’s killing her business. She thinks travelers aren’t renting her home because it’s more expensive now.

“We didn’t pay a platinum subscription to have VRBO scare business away,” she said.

Walton said VRBO told her it made another change. Her “Platinum membership” alone no longer guaranteed high search results.

Leena Shah’s story echoes Walton’s. She paid a platinum membership fee too and said she is now seeing rentals of her Maui condo drop drastically.

“I’m just throwing my hands up in the air now with VRBO,” Shah said.

Complaints about VRBO litter the internet. Angry homeowners even created a Facebook page.

“We receive dozens and dozens of calls,” said Michael Bowse, an attorney.

Bowse filed a class-action lawsuit against HomeAway, which owns VRBO, accusing the company of bait and switch, and breaching its contracts by charging the new service fee.

“So it essentially took people’s money under one set of circumstances and then changed the circumstances once it took their money,” he said.

Walton and Shah aren’t part of this lawsuit. But they do want their money back.

“I want my money refunded because it’s a breach of contract,” Walton said. “This is not what I signed up for.”

VRBO wouldn’t say whether it would refund Walton and Shah, citing pending litigation.

The company said since adding the new service fee, it’s introduced new security guarantees and “24/7 customer service.”

They said they’re now quote, “Delivering more happy consumers to VRBO owners.”

Source: http://www.nbclosangeles.com/news/local/Vacation-Rental-Company-Faces-Lawsuit-Over-Service-Changes-384217571.html#ixzz4CYZ4bqC3
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Jay Z Reportedly Taking Legal Action Against Former Tidal Owners

The lawsuit claims TIDAL’s former owners distorted subscriber numbers.

Ralph Bristout Mar 31, 2016

According to Bloomberg, Jay Z is going after the previous owners of Tidal for claims that he was given inflated subscriber numbers before acquiring the service.

The news was first reported by Norwegian press as the Roc Nation mogul filing a multi-million dollar lawsuit against the former owners of Tidal, which sold the service to him for about $56 million.

“It became clear after taking control of TIDAL and conducting our own audit that the total number of subscribers was actually well below the 540,000 reported to us by the prior owners,” said Tidal representatives in an emailed statement to Bloomberg. Before the deal, the streaming service was owned by the Norwegian media company Schibsted ASA.

The statement continues, stating, “As a result we have now served legal notice to parties involved in the sale.” It’s been reported that TIDAL wants about $15 million back.

Meanwhile, Schibsted defended the sale, telling Norway’s BreakIt News, as relayed by USA Today, “We want to point out that it was a publicly traded company that was acquired, with what it means by the transparency of financial reporting. Otherwise we have no comments.”

The lawsuit comes just a few days after Tidal revealed that its service has now gained more than 3 million subscribers worldwide, thanks to exclusives like Kanye West’s The Life of Pablo.

Sourced From – https://revolt.tv/stories/2016/03/31/jay-reportedly-taking-legal-action-tidal-owners-6253597a67